A new survey revealed that the city’s restaurant owners lost more than a quarter of their income in 2020.
The NYC Hospitality Alliance conducted a new survey of New York City restaurants on the consequences of the coronavirus pandemic on the restaurant industry.
The results of this survey revealed that nearly all New York City restaurants lost some of their revenue during the Big Apple’s total shutdown.
Compared to 2019, during 2020, 75% of the restaurants surveyed lost at least half of their income as a result of the coronavirus crisis.
The survey suggests the great impact that the pandemic has had on the New York City restaurant industry, which has had to face dozens of closures and restrictions as a result of COVID-19.
Bars and restaurants are essential to begin the economic recovery of New York City, however, with the coronavirus pandemic, more than 1,000 restaurants closed their doors partially or permanently, according to the NYC Hospitality Alliance.
“The survival of our restaurants and bars is essential to New York City’s economic recovery, so the continued number and nature of these struggling small businesses is alarming.” said Andrew Rigie, executive director of the NYC Hospitality Alliance.
The economic stimulus package provided to the food and beverage establishment industry has been a lifesaver for the owners of the small food and beverage establishments that are staying alive in New York City.
“The federal financial relief for the restaurant industry championed by Senate Majority Leader Schumer and signed by President Biden was a crucial lifeline for thousands of our restaurants, but without a continuous and concerted effort at all levels of government to revive the industry, the chances of the recovery of these businesses and the city will only diminish “, added Rigie.
Read here: Restaurants would receive millions with the aid package
A forgotten industry
In New York City, the food service industry has posted unmatched losses.
Despite owners’ pleas for Governor Cuomo to ease restrictions on food establishments, the industry was totally neglected, especially the city’s restaurants.
In the survey made by the NYC Hospitality Alliance Landlords were found to have claimed they could not stay open without financial assistance for rent payments and the eviction moratorium. In this section, almost half of those surveyed said they could not stay open without financial support.
The governor of the state, Andrew Cuomo has approved the reactivation of the interior spaces of the food establishments in New York City to a capacity of 50%. However, many owners have already lost their business due to the lack of financial support from state and federal authorities.
In New York City, the reactivation of food establishments was the last, since, in other parts of the state, they had already reactivated their indoor dining rooms at more than 75% of their capacity.
And despite the fact that the reactivation has arrived, the recovery for the industry will be much slower compared to other sectors of the economy due to the thousands of dollars in revenue that they lost.
You can also read: Within a year of the first case, more than 1,000 restaurants have closed in New York City
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